In Brief
Ashit Chakraborty, a conductor with Calcutta State Transport Corporation, exercised his option in 1991 to switch from a Contributory Provident Fund scheme to a pension scheme under the 1990 Regulations. When he retired in 2017, the Corporation paid him CPF and gratuity but refused pension, claiming he had abandoned his right through inaction. The Supreme Court upheld the High Court's order directing the Corporation to pay pension with arrears and interest. The Court held that timely exercise of the statutory option created a binding right that could not be defeated by administrative errors or the employee's passive acceptance of incorrect deductions.
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